


Walmart is beginning to pay some of its new employees a smaller wage than earlier this year as the retailer is potentially looking to decrease its labor costs.
The retailer's new form of payment will give most of its new employees the lowest hourly wage that it can pay, which is currently $14 per hour. Under this new structure, Walmart argues that workers will be able to move between different work groups in stores without impacting their pay, according to store documents that some workers received.
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“This will allow for better staffing throughout the store,” read one of the documents.
By allowing employees to perform different jobs in stores, they can learn new skills that will help them move up the chain of employment at Walmart, according to a spokesperson. This change in payment will not impact employees who are already employed at the big box retailer.
Earlier this year, the company announced a layoff of around two hundred workers at five of its e-commerce fulfillment facilities across the United States. The employees were let go because of a reduction or elimination in evening and weekend shifts, according to a spokesperson.
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Walmart announced in January that its new starting range for hourly employees would be $14-$19, depending on store locations. The change marked an uptick from the previous $12-$18 pay range.
Sen. Bernie Sanders (I-VT) claimed that Walmart's wage hike was "not enough" and that it should be paying "a living wage."